PROJECT REPORT

On

Recruitment and Selection Process In Nagarjuna Fertilizers and Chemicals Limited

Submitted to MAIMS, ROHINI

In partial fulfillment of the requirement for the award of degree

Of BACHELORS OF BUSINESS ADMINISTRATION BANKING AND INSURANCE [BBA (B&I)] SESSION 2010-2013 Submitted by:

DIVYA
Enroll no. 03761101810
Under the guidance of: Mrs. Charu 1

CONTENTS Certificate Declaration Acknowledgement Preface Abstract Chapter 1 Introduction Scope of the Study Objectives of the Study Literature Review Chapter 2 Industry Profile Company Profile The Policies Related to Recruitment and Selection Followed at NFCL Recruitment and Selection Process followed at NFCL Chapter 3 Research Methodology 4 5 6 7 8

Page No. 10-11 12 12 13-17

19-27 28 29-41

Introduction

44 2

 Tools and Methods of Data Collection Sample Profile Limitations of the Study Recruitment and selection process Chapter 4 Data Analysis Chapter 5 Findings and Interpretations Chapter 6 Recommendations and Discussions Bibliography Annexure Questionnaires

44
44 44 45-63

65-75

77

79 80
81-84

CERTIFICATE

This is to certify that _Divya_, a student of BBA Guru Gobind Singh Indraprastha University, enrolled for the batch 2010-13, with Enrolment no. _03761101810_ completed her Minor Project report RECRUITMENT AND SELECTION PROCESS IN NAGARJUNA FERTILIZER AND CHEMICAL LIMITED as part of Course Code: BBA (B&I) 213 under the guidance of Mrs. Charu, professor of Organizational Behavior (MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES(MAIMS)).

It was nice to observe that he has worked efficiently and dedicatedly to complete this project in given time under the proper guidance.

Mrs.Charu Professor of Organizational Behavior (MAIMS) GGSIP University

DECLARATION

I, _Divya_, a student of Bachelor of Business Administrator (BBA), with enrolment number _03761101810_, batch_2010_, at Centre for Maharaja Agarsen Institute of Management Studies (MAIMS), Guru Gobind Singh Indraprastha University Delhi, have undertaken Minor Project (Course Code: bba(b&i) 213) onRECRUITMENT AND SELECTION PROCESS in NAGARJUNA FERTILIZER AND CHEMICAL LIMITED as prescribed in the third Semester. This report based on my research and is submitted here with for evaluation in the Third Semester.

I reaffirm that the Minor Project submitted by me is an original piece of Writing and expression, and nothing has been lifted or copied from anywhere.

Divya Enroll. No. 03761101810 Three Year BBA (B&I) MAIMS Place: Delhi Date:

ACKNOWLEDGEMENT

I am really grateful to Mrs. Charu who gave me his guidance in completing this project. This project is part of our paper Minor Project in which we had to conduct a minor research study on a topic of current relevance. It helped us in analyzing, investigating and organizing the data and writing the paper on the basis of the research conducted.

I am also thankful to Mrs. Charu who gave me his valuable Guidance and directions while selecting the topic

Submitted by: Divya Enroll. No. 0376110810 Three Year BBA (B&I) MAIMS

PREFACE

This report is based on the research which I have undertaken as prescribed in the syllabus of the third semester of BBA(B&I) In the first part of the report a brief introduction of the topic, objective of the research and the research methodology adopted is given. In the next section complete description and analysis of the collected data is provided. Third section of the report is about the results of the research. In the last I have tried to discuss the topic and analysis of a company

ABSTRACT

In Todays rapidly changing business environment, organizations have to respond quickly to recruitment for people .Hence, it is important to have a well-defined recruitment policy in place, which can be executed effectively to get the best fits for the vacant positions. Selecting the wrong candidate or rejecting the right candidate could turn out to be costly mistakes for the organization .Selection is one area where the interference of external factors is minimal. Hence the Hr department can use its discretion in framing its selection policy and using various selection tools for the best results. These caselets discuss the importance of having an effective recruitment and selection policy. We discuss the importance of a good selection process that starts with gathering complete information about the applicant from his application form and ends with inducting the candidate into the organization.

Chapter - 1

INTRODUCTION

Acquiring and retaining high-quality talent is critical to an organizations success. As the job market becomes increasingly competitive and the available skills grow more diverse, recruiters need to be more selective in their choices, since poor recruiting decisions can produce long-term negative effects, among them high training and development costs to minimize the incidence of poor performance and high turnover which, in turn, impact staff morale, the production of high quality goods and services and the retention of organizational memory. At worst, the organization can fail to achieve its objectives thereby losing its competitive edge and its share of the market. Human resource department plays a crucial role in this process. The backbone of any successful company is the HR department, and without a talented group of people to hire, culture, and inform employees, the company is doomed for failure. Human resource is most valuable assets in the organization. Profitability of the organization depends on its utilization. If there utilization is done properly will make profit otherwise it will make loss. To procure right man at right place in right time, some information regarding job and job doer is highly essential. This information is obtained through job analysis, job description and job specification. Without these recruitment will be unsuccessful.

A well planned and well managed recruitment will result in high quality applicants for the company. The recruitment process should inform qualified individuals about employment opportunities, create a positive image of the company, provide enough information of the jobs so that applicants can make comparison with their qualifications and interests and generate enthusiasm among the best candidates so that they will apply for vacant positions. What distinguishes a successful company from unsuccessful one is the quality of manpower. The role of management is to optimize the use of resource available to it. The role of HR is to incorporate the planning and control of manpower resource into the corporate level plans so that all resources are used together in the best possible combination.

10

Managing people at work and control of human activities in employment is a function that must be performed in all societies. It is essential in every type of employment for every occupation and every type of employed manpower. Manpower management is essential in government as well as private employment under socialism or communication in small business and in large. Recruitment, as a human resource management function, is one of the activities that impact most critically on the performance of an organization. While it is understood and accepted that poor recruitment decisions continue to affect organizational performance and limit goal achievement, it is taking a long time for public service agencies in many jurisdictions to identify and implement new, effective hiring strategies. Recruitment is a process which provides the organization with a pool of potentially qualified job candidates from which judicious selection can be made to fill vacancies. Successful recruitment begins with proper employment planning and forecasting. In this phase of the staffing process, an organization formulates plans to fill or eliminate future job openings based on an analysis of future needs, the talent available within and outside of the organization, and the current and anticipated resources that can be expended to attract and retain such talent. Selection is a process of hiring the best among the pool of candidates available. Right person for the right job is the basic principle in recruitment and selection. Every organization should give attention to the selection of its manpower, especially its managers. The operative manpower is equally important and essential for the orderly working of an enterprise. Every business organization/unit needs manpower for carrying different business activities smoothly and efficiently and for this recruitment and selection of suitable candidates is essential. Human resource management in an organization will not be possible if unsuitable persons are selected and employment in a business unit.

11

SCOPE OF THE STUDY 1. The study is limited to the information given by the employees. 2. Meeting some of the top management associates in the senior cadre was difficult. 3. The study has been limited due to time constraint. 4. The study is limited based on the rules and regulations of the organizations.

OBJECITIVES OF THE STUDY To get right person at right place and in right time, the organization should have the specific and clear policies and recruitment and selection methods which are essential for the growth of the organization.

To analyze the actual recruitment process in NFCL.

To find whether the existing processes of recruitment and selection are taking place scientifically or not.

To review the importance and needs of recruitment and selection process.

State, explain and evaluate various methods of recruitment.

12

LITERATURE REVIEW

1.

Best Practice Recruitment and Selection

The State Services Authority (the Authority) undertook a project in 2007 to evaluate the effectiveness of recruitment selection techniques in the Victorian Government. The project aims to: Promote the systematic review of current recruitment selection techniques in the VPS Develop recommendations for the use of better practice tools, based on research and case studies Promote better selection techniques to improve the quality and speed of recruitment actions within the VPS and the public sector. After the completion of the program the authority decided to adopt the Practice Recruitment and Selection Toolkit and develop a training program which will help in the execution of this toolkit. The training program guides participants through best practice recruitment and selection using course booklets, PowerPoint presentations, practical exercises and additional reference material. The similar is the direction of my project wherein I have to suggest various measures through which the HR department at NFCL can practice the recruitment and selection process in the best efficient manner. The HR department should be aware of the recent trends in Recruitment and Selection so as to adopt them whenever required. They should be given proper training in adopting various trends in the process. 2. Recruitment and Selection By: - Duncan Brodie The literature states about the problems faced by the organizations at the time of selecting the right candidate for a particular position and the various ways the organizations can overcome these problems.

13

Train those recruiting- It is necessary for the organizations to train those people who are involved in the process of recruitment and selection, so that they take right decisions. They should be provided with sufficient training so that they are confident about their decisions.

Be clear on what you are looking for- If you are going to get the right person for the job, you need to be clear on the skills, qualifications, experience, personal attributes and qualities that the right candidate will have.

Select The Most Appropriate Source for Securing Applicants- The key point here is to be sure you are choosing the right place to advertise. Sometimes a local newspaper will work. At other times, you may need to go to specialist publication or a recruitment consultant.

Establish A Clear Framework For Short listing- The framework for short listing the candidate should be clear to the recruiters and also to the candidates. Consider the Best Option for Selecting Candidates- In some cases you might just go for a traditional interview and possibly add in a presentation. Otherwise the organization can adopt any other method of which they are more confident.

Remain Open Minded- Often people jump to conclusions about candidates within minutes. Remember some of the best candidates might take a few minutes to get warmed up so don't discount people too quickly.

Be Professional- When interviewing you are representing your organization, its values, and beliefs. Today's candidate if they don't get the job could be a customer or supplier in the future so give the best impression you can.

Give Feedback- Candidates takes good time in preparing themselves for the interviews therefore the recruiters should also take out the time for giving them feedback whether they are successful or unsuccessful candidates.

14

2. Recruitment and Selection Reasons for its Importance By-: Abhishek The literature states about the importance of the recruitment and selection procedure and how even a small mistake at the time of selecting the candidate can harm the organization. Any successful business will have at its core efficient and caring employees who have complete job satisfaction and a perfect fit for the jobs they are entrusted with. This is not an easy task to accomplish and full credit goes to the selection and recruitment processes that the company has in place. On the contrary, if these processes are not handled efficiently, the wrong sort of lethargic employee appointments can prove fatal even to a well established business. It is of utmost importance for an employer to be absolutely clear on what they expect an employee to be. The skills required for the job should be enumerated as precisely as possible. Transferable skills which the company could use also deserve a mention. So the chances of zeroing in on the right candidate increase greatly if the vacancy advertised is very specific as to the requirements. If recruitment agency service is opted for by the employer, the agency or the consultant should get very precise instructions from the employer. It is necessary that an exact framework for short listing applicants for a vacancy is formulated in advance. This is the first step of the selection and recruitment process. This entails that the employers are very clear as to what sort of qualifications and experience they expect to see on the CV of the potential employee. The process of selection and recruitment needs to spell out very clearly the absolute requirements vis--vis qualifications and qualities necessary to fill the vacancy. Based on this one can shortlist the candidate. The next step is to take a decision on the number of interviews and/or presentation needed to finally select the employee. If the employers give very concise and accurate description of what they expect the employees to be, the recruitment consultant or the agency can choose a candidate very easily. The recruitment consultant or the agency also needs to have knowledge of the employers in-built processes of selection of the right candidates. Finally, it is in the fitness of things that a feedback is provided on the interview by the interviewer either to the applicant or the agency through which he has come. Before proceeding with the interview which may or may not be followed by a presentation, the interviewer on behalf of the company should have reached a decision as to what package of remuneration he is

15

willing to offer to the right person. This is a very vital but easily overlooked point in the process of selection and recruitment. The employers would do well to remember that the potential candidate would most definitely be sizing up the prospective employer as well during the selection and recruitment process.

Behind every attrition there is recruitment! Whenever an employee leaves an organization without informing and without giving notice or leaves the organization in the middle of the project it should be known that he or she is joining some other organization. Many times the employees of the recruitment consultants are hired by their own clients and are asked to join at a very short notice period. They are been told that relieving letter is not required and some even offer incentives for early joining. There must be some guidelines and ethics for recruitment so that there can be fair recruitment policies. There must be some ethical guidelines such as a) Notice period must be served and nobody must be hired without relieving letter or providing proof of serving the notice period. b) Corporate should not hire anyone who has spent less than one year in his current organization. The logic is obvious. Employees six months to begin their contribution and at least one year is required to recover recruitment process. More importantly if somebody is hired who has worked less than a year with the current organization, that individual will ditch in even shorter period. c) Corporate should not head hunting from competition. They should advertise and encourage employees seeking change to voluntarily respond to this advertisement. d) Corporate should not bail out the prospective employee commitments such as employment bond etc. the corporate should realize that employee signed the bond and if he wants to break it, he should do at his own cost and the corporate should not reimburse or compensate him for violating the employment contracts says Mr. T. MURALIDHARAN who is the chairman of TMI NETWORK one of the Indias leading recruitment consultancies. In one of the study conducted on recruitment and selection process at BIOLOGICAL-E LTD conducted by Manik Rao in the year 2005. It was found that company has used internal search for recruiting the employees into more higher or the positions in different departments who can

16

fit into the job. It was found that the company has done it by considering it as the most cost effective way of filling the vacancies. It has also been found that the company opted for external sources such as advertisement agencies to fill vacancies. Employee referrals were also one of the internal sources of recruitment. In another study on recruitment and selection in DW PRACTICE LLC which is a HR consultancy, it was found that most of the employees felt that the telephonic interview is not effective and instead direct interviews are more feasible. These are some of the studies conducted earlier on the recruitment and selections.

17

Chapter - 2

18

INDUSTRY PROFILE

Indian Fertilizer Company Profiles There are nine public sector undertakings and two cooperative societies under the administrative control of the Department of Fertilizers. At present, there are 63 large size fertilizer units in the country, manufacturing a wide range of nitrogenous and phosphatic / complex fertilizers. Of

19

these, 38 units produce urea whereas

9 units produce ammonium sulphate as a by-product.

Besides, there are about 79 small and medium scale units producing single superphosphate.

Fertilizer Association/Company

Website Address

The Fertilizer Association of India

www.fertindia.com

Public Sector National Fertilizers Limited Fertilizers and Chemicals Travancore Ltd. Rashtriya Chemicals & Fertilizers Limited Madras Fertilizers Limited Paradeep Phosphates Limited Pyrites, Phosphates & Chemicals Limited Fertilizer Corporation of India Limited Projects & Development India Limited www.nationalfertilizers.com www.fact.co.in www.rcfltd.com www.madrasfert.com www.paradeepphosphates.com www.ppclindia.com www.fertcorpindia.nic.in www.pdil.nic.in

Cooperative Sector Indian Farmers Fertilizer Cooperative Ltd. www.iffco.nic.in

20

www.kribhco.org Krishak Bharati Cooperative Limited www.kribhco.net www.kribhcoindia.com

Private Sector Gujarat State Fertilizer Company Limited Coromondel Fertilizers Limited Shriram Fertilizers & Chemicals Limited Zuari Industries Limited Southern Petrochemicals Inds. Corpn. Ltd. Mangalore Chemicals & Fertilizers Limited Gujarat Narmada Valley Fertilizers Co. Ltd. Duncans Industries Limited Deepak Fertilizers & Petrochemicals Ltd. Indo-Gulf Fertilizers & Chemicals Corpn. Ltd. Godavari Fertilizers & Chemicals Limited Nagarjuna Fertilizers & Chemicals Limited Chambal Fertilizers & Chemicals Limited Tata Chemicals Limited Oswal Chemicals & Fertilizers Limited www.gsfclimited.com www.cflindia.com www.dscl.com www.pdil.nic.in www.spicgroup.com www.mangalorechemicals.com http://gnvfc.guj.nic.in www.duncansfertiliser.com www.deepakgroup.com www.indogulf.co.in www.gfcl.com www.nagarjunagroup.com www.zuari-chambal.com www.tata.com www.oswal.org

21

Nagarjuna Organization: Nagarjuna Group founded by Shri KVK Raju in 1973 with an investment of US$ 23 million. The Nagarjuna Group today is a prominent industry of fertilizer producing in India.

The other groups: In the year of 1974 birth of a business group that pioneered several core sector enterprises in the coming decades. Starting with manufacturing steel, Nagarjuna Steels Limited was launched.

1985: With focus on agriculture input business started plant nutrition business with Nagarjuna Fertilizers and Chemicals Limited.

1992: Forayed into the Crop Protection Business with investments in Pesticide Formulations manufacturing followed by Technical Grade Manufacturing in the year 1994.

1994: Micro irrigation business started to address the irrigation problems of farmers living in water and energy scarce regions.

1995: Ventured into Energy sector. Entered into power generation by setting up Nagarjuna Power Corporation Limited.

1997: Entered into petroleum by setting up Nagarjuna Oil Corporation Limited. Consolidating its core activities, today the Groups major operations cover Agric and Energy sectors. Nagarjuna Fertilizers and Chemicals Limited (Kakinada Plant) Nagarjuna Fertilizers and Chemicals Limited operates large modern integrated Ammonia-Urea complex laid out in two streams each with Ammonia and Urea plants. The manufacturing facilities are located at Kakinada in the East-Coast of India in the state of Andhra Pradesh. UnitI, which was commissioned in Aug 1992 comprises a 900 MTPD Ammonia plant and matching

22

1500 MTPD Urea plant and is fully based on Natural Gas both as feed and fuel. The Ammonia plant is based on Haldor Topsoes steam reformation process and the Urea plant on Snamprogettis Ammonia self-stripping process. PROCESS DESCRIPTION AMMONIA PROCESS

23

UREAPLANT

24

COMPANY PROFILE

Nagarjuna Fertilizers and Chemicals Limited: The flagship company of the Nagarjuna Group, Nagarjuna Fertilizers and Chemicals Limited is a leading manufacturer and supplier of plant nutrients in India. The operation of plant was commenced in 1985 and today the companys asset base is around Rs.21 billion. This company is the distinction of being the single largest private sector investment in southern India. The companies broad portfolio of products and services include: Nutrition solutions Macro and Micro fertilizers and Farm Management services Micro Irrigation solutions

The company also offers expertise for the management of chemical process plants, which include Specialist Services and Total Project Management. The operations and offerings have been aligned into three strategic business units: Straight Nutrition Business Nutrition Solutions Business Nagarjuna Management Services

THE BUSINESS

The Nagarjuna and fertilizer and chemical limited is involved in the production and marketing of wide range of fertilizers. Urea and Nitrogenous fertilizers both are manufactured at Kakinada plant and marketed through export at Vizag and Kakinada ports. In the vast urea market the brand Nagarjuna is highly preferred by the farming community. NFCL currently markets about 1.2 million tons of manufactured urea and about 0.6 million ton of imported urea per annum. With the aim of providing total solutions to the farmers, NFCL has commenced marketing of

25

fertilizer mixture through domestic sourcing and has further plans to enter into phosphate potashic segments also. The company also marketed a wide range of micronutrients like Zinc Sulphate, DAP etc with emphasis on quality. The company associated with Haifa Chemical Limited of Israel and Yara of Norway to bring world class solutions to its customers. VALUES Deliver solutions that will please our customers. Deliver returns that motivate our investors. Take actions that strengthen us and inspire the best in others (by setting an example in relationships, integrity, honesty, humility and hard work) Understanding the deep and fundamental needs of People, Customers, Investors and Ecosystem (Alliances, Community and Environment).

AWARDS AND RECOGNITIONS: 2006- Awarded with 'Best Management' by Labour Department, Government of Andhra Pradesh. 2006- 'Certificate of Appreciation', for its efforts towards good Corporate Citizenship. 2005- Award for Excellence in Natural Gas Conservation in the Fertilizers Sector category from Gas Authority of India Limited (GAIL). 2005- 5Star Rating in O H & S Audit from British Safety Council, UK. 2005- Commendation Award in Leadership and Excellence Awards in Safety, Health & Environment (SHE) 2004, by Confederation of Indian Industry, Southern Region.

26

THE MANAGEMENTS: Sri K.S.Raju, Chairman & managing director: A Mechanical Engineer, he has been instrumental in propelling the group forward, achieving newer height of glory. He has successfully led the Groups foray into several core industrial sectors.

Shri R S Nanda, Director & chief operating officer A Mechanical Engineer, he was formerly the president and managing director of coromandal fertilizer limited. He has a rich experience in holding senior positions in various other reputed companies in his carrier like EDI Parry ltd, The Fertilizer Corporation of India working in Pharmaceuticals and Agrochemicals sectors with Cyanamid India Ltd and Kanoria Chemical Ltd. Shri K Rahul Raju, Joint Managing Director He is a dynamic professional with foresight and futuristic thinking, he is a member on the Board of most Group companies. He has been fast propelling the group into several breakthrough areas, such as, Life Science and Biotechnology. He has been instrumental in setting up the stateof-the-arts Research Center for carrying out the R & D activities of these new initiatives with a view to strategically position the group in the global arena.

27

The Policies Related to Recruitment and Selection Process Followed At NFCL

28

Recruitment and selection at NFCL

At NFCL the recruitment and selection policy has been named Talent Engagement Policy and the company will recruit the required human resources through policy. Talent Engagement Policy: The company is having a talent engagement policy which describes the approving authority for recruitment, selection methods followed by the company. Talent engagement form attached as Annexure-1. For all recruitment engagement of talents in the organization, the process shall be initiated through human potential department (HPD) only. Group HPD is the process owner and shall be issuing the guidelines on this from time to time. The recruitment of new associates is based on the vacancies in the approved organization structure of the company. For recruitment of any position in the organization, a manpower requisition duly filled in by the format shown in the annexure-1 has to be sent by the department head. Based on the request, the HPD will initiate the process. Position wise approving authority as per the policy:

Type of positions All replacement positions All new positions with approved organization structure All new positions outside the approved organization structure

Approving authorities for recruitment HOD/ Business Head Director and COO

VC and MD

29

Objectives of the NFCLs Recruitment and selection policy: To create sound procedure to appoint employees within the stipulations of the approved policy. To recruit, select and place competent and suitably skilled people who will contribute to the achievement of the NFCLs strategic and operational requirements. To attract talented and motivated people who will achieve and contribute to the NFCLs continued business success while enjoying long term carrier success. To recruit and select employees, but also to ensure the full utilization and continued development of human resources. To ensure that all recruitment activities are handled according to best practice and professional guidelines. To create positive image of the company.

Cadres, Levels, Grades and designations at NFCL: The company is divided its human resources into: Management Cadre ( top management, senior management, middle management and jr. Management) Commercial / technical cadre. The top management has been graded as NG 8 and the jr. Management has been graded as NG 1. The commercial and technical staffs have been graded as E 6 to E 1. The company is having regional and branch offices all over India. Recruitment of its resources will be done through centralized system .i.e. all the recruitments will be done in its Head Office only i.e. Hyderabad.

30

Methods followed by the company for recruiting its human resources:

1. 2. 3. 4. 5. 6.

Internal Job Posting Employee referral program Recruitment agency Advertising Relatives of associates Re-joining of ex-employees

1) Internal job posting: Whenever there is a job opening in the organization, it would be posted internally for the associates to apply. The applications will be short-listed based on the competency required for the position. The process of inviting and screening resumes of external candidates would also be carried out parallel to it. The internal candidates would be screened first for the particular opening, in case no internal candidate is found suitable for the particular position, the screened resumes of the external candidates would be used for the recruitment process. There is no predefined time limit for which the internal vacancy would be posted; the duration for which the vacancy would be posted would depend on the nature and criticality of the job. This policy is applicable to all the full time associates of the company who have completed one year of service in the organization.

2) Employee Referral Program: This policy is applicable to all full time associates (except the recruitment related associates of HPD/ P&A department and concerned Head of the Department) of the company at all locations.

31

The aim of the program is to make the recruiting process more effective and to create a talent pool of high potential people in the organization and to identify and engage performing people known to the company associates for their contribution in the industry.

Employee referral program process: All the job opportunities with the required job and skill profile will be posted on the notice boards. The associates have to forward the CVs of the referral to the recruitment in-charge in the HPD department of his perusal. Even if there are no opportunities available, associates can send in referrals, which will be kept in the recruitment database. The candidate will be contacted directly if considered appropriate for the position. HPD/P&A will however not be able to provide the associate a status update, and will also not be able to share information of the interview details with the refereeing associate.

Reward to employees for referring candidates: If the referral candidate is selected (except in case of trainees), the concerned associate referring the candidate will be eligible for a reward money equivalent to 5% of the CTC.(excluding PF, Superannuation &performance pay) of the referral candidate. The amount will be discussed as mentioned below:

30% of the reward money will be paid soon after the candidate joins the organization. In case the candidate leaves the organization before 6 months of his joining, the same will be removed from the referring associate.

32

Balance 70% of the amount will be given after the 1st performance review of the candidate is over and on candidate getting at least GOOD or equivalent rating in the review.

3) Recruitment agency: The company is having written agreements with some of the agencies for manpower recruitment. Details of the position required, will be intimated to the agency through email/phone by the HPD. Based on the required, the agency will send the suitable profiles to HPD. The agency must guarantee the candidate for at least 3 months, if within 3 months the candidate resigns the agency must provide alternate source with free of cost.

4) Advertising : Vacancy advertisement will be given in the reputed national news papers, based on the type of the vacancy. Generally this method will be used only to recruit the senior management cadre.

5) Relatives of associates: Relatives of associates can work in the organization, the associate needs to declare in case of referring a relative for a particular job position.

6) Re-joining of ex-employees: In general the organization does not encourage joining of ex-employees who have voluntarily left the organization left the organizations to join back. However, in case an associate possesses

33

exceptional skills and if the organization feels that by joining, the associate would be adding tremendous value to the organization, the organization may consider the associate for the required position upon approval of the VC & MD.

Selection Process at NFCL Step 1: The preliminary short-listing of candidates will be made by HPD/ P& A along with concerned departmental head based on: Minimum qualification required Experience except (for fresher)

Step 2: Once the short-list is completed it will be return to HPD. HPD will inimate all the shortlist candidate by phone or email advising them of their interview date, venue, time etc.

Step 3: The company is having a full-fledged Talent Engagement Form which should be filled by all the candidates at the time of interview. This form contains all the details of the candidate i.e. his/ her family background, qualification, experience details, references, salary particulars etc. The short-listed candidates will go through a selection process consists of all/ one combination of the following based on the need. Written-test GD (in case of campus selection) Interview

34

Interview panel will consist of: Functional experts from within/outside the organization Department/ division head Representative from HPD/ P & A

Step 4: After 1st round interview, the interview panel short lists the candidates (if the no. Of candidates attended are high compare to the available positions) for the final round interview. Step 5: HPD will conduct the referral verification of the selected candidate by consulting the references given by the candidate at the time of the interview. If any complaints received against the candidate during referral verification, that candidate will be deleted from teh selected list. If the candidate found good in referral verification also, offer will be sent to the candidate. Offer Letters will be sent to the selected candidates by HPD. After getting the letter the candidate has to confirm his joining and accordingly confirmation must be sent to the HPD.

Step 6 (on the day of joining)

On the day of joining the candidates will be sent for Medical checkup, based on the cadre they have selected. The candidate must submit the following documents to HPD. HPD will verify these documents and will be filed in the individual fie of the candidate. Acceptance of the offer of the appointment duly signed.

35

Original education certificate along with one photocopy set for file copy( the original certificates will be return immediately to the associates after verification) Relieving letter, in original from past employer- if applicable Last pay-slip, in original from previous employer , if applicable. Copies of service certificates of previous employers, if applicable. 4 passport size photographs.

All associates are required to open a saving bank account with company nominated bank. Their salary and other re-imbursement would be credited directly to their bank accounts. Step 7: Orientation: To understand whos who in the organization, functions of various departments and the work culture and induction programme will be arrange to the new recruitee. The induction programme of the new employee will be circulated to all the concerned departments. The main purpose of this program is to get: Step 8: Commencement of service: Service of an associate will start from the day he/she reports to the duty in terms of appointment letter. Associate who are joined below General Manager level has to be under probationary for 6 months from the date of joining. After successful completion of the probationary period based on the recommendation of the concerned HOD, associates will be taken in permanent roles.

Knowledge about the organization ( history and present, vision and values) Knowledge about his/her job( roles and responsibility) Knowledge about relevant people Knowledge about policies, systems and practices of the organization.

36

Fitment of Trainees: The company recruits various categories of trainees from different educational backgrounds for pre- defined training period. The company shall have no obligation to regularize the trainee in the regular roles of the company after completion of the training period. The performance/ progress of the trainee will be evaluated every 3 months during his/ her training. Other HR policies of the company: The company is having other HR policies which are formulated for the benefit its associates as well as the company. Work life policy: This policy explains the associates working days, time, attendance, dress code, personnel data, and facilities to the employees at work place. Working days: All days except 2nd and 4th Saturday, weekly holiday

Working timing: Types of shifts General Corporate office Hyderabad 9:00a.m.5:30p.m. Ashifts Bshifts Cshifts -

Liaison and marketing field office

F9:00a.m.5:30p.m. ertilizers & Chemicals Limited 8:00a.m.4:30p.m

Kakinada plant

6:00a.m.2:00p.m

2:00p.m.10:00p.m

10:00p.m.-6:00a.m

37

Identity cards are necessary for every employee. Each day entry in attendance register Dress code Formal dress for corporate employers For Kakinada dress codes areMen Rs.150/-per set Women Rs.15/-per blouse 3 uniforms per year 3 pair socks and 1 pair shoes 1 pair gum boots once in four year Raincoat once in 3 year Badget, caps,belts once in a year

Benefits: Employees PF and pension schemes Group insurance scheme in lien of EDLT Gratuity (for employees who completed 5 years of continuous service) Superannuation scheme for management cadres(NG1-NG8) Long service awards on founders day (28 nov.) Housing loan facilities(at 5.5% interest, E0-E3(2 lakh), E4-E6(2.75 lakh)) Two wheeler loan(for E0-E6- Rs 35000/-) 3 times in his/her service. Furniture loan (E0-E6) Rs. 40000/Group saving linked insurance scheme(E0-E6) Akshara school Kakinada plant NEWS club at Kakinada plant Festival advance for commercial/technical staff (E0-E6) Baggage insurance (NG1-NG8) Fidelity guarantee insurance

38

Health and wellbeing policy: Medical checkup every year Annual health checkup for family member at Kakinada plant Occupational health center at Kakinada plant Hospitalization scheme for associates of grades E0-E6 Extent of reimbursement self 100%,spouse 80%, dependent 7500/-p.a. Medicare scheme for management cadres(NG1-NG8) ESI(Employee state insurance) Family planning incentives(Rs.1500/-) Group personal accident policy(for unfortunate event)

Leaves policy: Compulsory paid holidays-9 Days

Types of leaves Casual leaves Sick leaves Annual leaves Birthday leaves Maternity leaves Paternity leaves Family planning leaves

Days 7 days 11 days 21 days days 12 weeks(only for 2 children) 3 days(only for 2 children) 6 Days

Sick leave bank to avoid loss of pay Travel policy: This explains the procedure and guidelines to the employees while travelling on business purpose.

39

General travel rules and procedures stated. Travel program plan (visiting plan, date, time) should be clear. Instruction have to be sent to the administration department for approval Copy of approval travel plan has to be sent to the finance department Accommodation by administration department

Travel claim: All bills enclosed with travel plan, all expense mentioned in that enclosures, and send to respective department for further process. Travel rules for sales field staff: Regular tour for sales- all expenses incurred will be recovered. Marketing operation divided into two slabs-slab1 and slab2 according to state wise Transfer and deputation: All transfer of associates in the organization. Transfer Intradepartmental transfer Interdepartmental transfer From one location to other Between group of companies

Process: Transfer request by associates To fill Transfer form Relocation expenses

Deputation: Transfer from one department to another department.

Learning and development: Associate potential development: Building individual competition i.e. knowledge, skill, behavior/ability. ADP is a 4 step process; it gives step by step directions

40

NEED GENERATION Competency gap analysis Business requirements DELIVERY Internal program External program/seminars/long term courses E-learning

DESIGN Need analysis & APD plan Faculty and program identification Content development EVALUTION Post program Pre and Post program On the job Return on investment

Separation Resignation is a voluntary separation initiated by associate if he/she is desirous leaving the service of the organization. All associates are required to give a notice in writing if they wish to discontinue their employment relationship with the organization. Process, notice period cadre wise, retirement, termination, death benevolent assistance, final settlement. Retirement 58 years Post facilities after retirement are- hospitalization scheme, pension etc Death benevolent assistance funeral expense i.e. Rs. 3500/Discrimination and harassment policy: Through grievance resolution committee

41

Technology used: Applicability to information Technology infrastructure available at work location. Ease of work Optimization of performance Ease of maintenance

42

Chapter 3

43

RESEARCH METHODOLOGY

Introduction The research was done in order to understand the Recruitment and Selection Process followed at NFCL and the perception of the employees from all the cadres regarding it. To know how an organization performs in terms of productivity and this should be directly proportional to quality and quantity of its human resource. In order to get the right kind of people in right place in the right time the organization should have the specific and clear personnel, policies and recruitment methods which are essential for the growth of the organization. Hence it was necessary to conduct a research on the process. Sample Size The sample undertaken to conduct research study consist of fifty people which is approximately one tenth of the total strength working in the organization. The sample covered the employees from all the cadres, encompassing the senior most officers to the workers. The sample was collected from all the departments of the organization. Tools and Methods of Data Collection The primary method of data collection was the questionnaire method which was circulated to the sample undertaken and the information was collected with its help. Also a general discussion with the employees helped to gain information regarding the study. The secondary source used to collect data was the companys policy manual which contains the policy related to the topic. Limitations of the Study: Although attempt was made to gather all relevant information in connection to the study there were many shortcomings and difficulties, which could not overcome. The research sample was limited to one tenth of the total employees hence the information gathered could be limited. The conclusions are derived from the response of the employees which are expected to be unbiased.

44

RECRUITMENT Recruitment is an important part of an organizations human resource planning and their competitive strength. Competent human resources at the right positions in the organization are a vital resource and can be a core competency or a strategic advantage for it. Recruiting the top talent for a job takes time and attracting the quality candidates who have the knowledge and skills needed to help the companys growth. Recruitment and selection are two of the most important functions of personnel management. Recruitment precedes selection and helps in selecting a right candidate. Right person for the right job is the basic principle in recruitment and selection. Every organization should give attention to the selection of its manpower, especially its managers. The operative manpower is equally important and essential for the orderly working of an enterprise. Every business organization/unit needs manpower for carrying different business activities smoothly and efficiently and for this recruitment and selection of suitable candidates is essential. Human resource management in an organization will not be possible if unsuitable persons are selected and employment in a business unit. Meaning of recruitment It is the process of finding and attracting capable applicants for the employment. The process begins when new recruits are sought and ends when their applicants are submitted. The result is a pool of applicants from which new employees are selected. In this, the available vacancies are given wide publicity and suitable candidates are encouraged to submit applications so as to have a pool of eligible candidates for scientific selection.

Recruitment refers to the process of attracting, screening, and selecting qualified people for a job at an organization or firm. Recruitment process involves a systematic procedure from sourcing the candidates to arranging and conducting the interviews and requires many resources and time.

45

A general recruitment process is as follows:

1) Identifying the vacancy: The recruitment process begins with the human resource department receiving requisitions for recruitment from any department of the company. These contain: Posts to be filled Number of persons Duties to be performed Qualifications required

2) Preparing the job description and person specification. 3) Locating and developing the sources of required number and type of employees (Advertising etc). 4) Short-listing and identifying the prospective employee with required characteristics. 5) Arranging the interviews with the selected candidates. 6) Conducting the interview and decision making

1. Identify vacancy 2. Prepare job description and person specification 3. Advertising the vacancy 4. Managing the response 5. Short-listing 6. Arrange interviews 7. Conducting interview and decision making

46

Recruitment is a continuous process because of: a) Staff departures (e.g. retirements, resignation ) b) Changes in business requirements (e.g. new products, markets, expended operations) c) Changes in business location (are relocation often triggers the need for substantial recruitment) d) Promotions e) Transfers Objectives of the recruitment process To obtain the number and quality of employees that can be selected in order to help the organization to achieve its goals and objectives. It helps to create a pool of prospective employees for the organization so that the management can select the right candidate for the right job from this pool. To induct the outsiders with new perspectives to lead the company. To recruit people whose skill fit the company values? To search for talent globally not just within the company. To device methodology for assessing psychological traits. To anticipate and find people for positions that does not exist yet.

Factors affecting Recruitment: The size of the organization. The employment conditions in the community where the organization is located. The effects of past recruiting efforts which show the organizations ability to locate and retain the good performing people. Working conditions, salary and benefit packages offered by the organization. Rate of growth of the organization.

47

The future expansion and production programs. Cultural, economic and legal factors.

However these factors may be divided specifically as: Internal factors External factors

Internal Factors: Recruitment policy of the organization Human resource planning strategy of the company Size of the organization and number of people employed Cost involved in recruiting employees Growth and expansion plans of the organization Company pay package Career planning and growth Quality of work life Role of trade union

External Factors: Supply and demand of specific skills in the labor market. Political and legal factors like reservations of jobs for specific sections of society etc The job seekers image perception of the company. Information system like employment exchange/ tele recruitment like internet. Labor market conditions.

Recruitment checklist: Before going to actual recruitment a checklist to be made which helps the recruiter till the end of the process. Whether the vacancy has been agreed by the responsible manager Availability of the job description

48

What are the conditions of employment for the vacant position Whether the candidate specification been prepared Whether the notice of vacancy been submitted earlier Whether the job advertisement been agreed What arrangement have been made for drawing a shortlist of candidates Whether the interview arrangement have been made Whether offers letters been agreed and dispatched Whether rejection letters sent to the unsuccessful candidates Whether confirmation letter received from the selected candidate to letter has been sent. whom offer

Recruitment policy: In todays rapidly changing business environment, a well defined recruitment policy is necessary for organizations to respond to its human resource requirements in time. Therefore, it is important to have a clear and concise recruitment policy in place, which can be executed effectively to recruit the best talent pool for the selection of the right candidate at the right place quickly. Creating a suitable recruitment policy is the first step in the efficient hiring process. A clear and concise recruitment policy helps ensure a sound recruitment process. Most of the companies are having personnel policies for the organization. Recruitment policy is a part of the perssonel policy. But before making the recruitment policy the organization must consider the government policies, personnel policies of other organization, social responsibility of the organization etc. Sources of recruitment: INTERNAL SOURCES: The most common internal sources of internal recruitment are 1. 2. 3. 4. Personal recommendations Notice boards Newsletters Memoranda

49

1) Personal References The existing employees will probably know their friends or relatives or colleagues who could successfully fill the vacancy. Approaching them may be highly efficient method of recruitment but will almost certainly offend other workers who would have wished to have been considered for the job. To keep employees satisfied make sure that potentially suitable employees are informed of the vacancy so that they can apply. Also anyone else who is likely to be interested is told about it as well so that they can apply for the job.

2) Notice Boards This is the convenient and simple method of passing on important messages to the existing staff. A job advertisement pinned to a notice board will probably be seen and read by a sufficient number of appropriate employees at little or no cost. However many of the staff will probably not learn of the vacancy in this way either because the notice board poorly located or is full of out dated notices that they dont bother to look at it, as they assume there is nothing new to find out. A notice board must be ensured that it is well sited. Wherever it is been placed it should be certain that it is seen by every one. It means there must be equal opportunity to see to it and this happens when they know that just important topical notices are on display. Attention must be paid to the design and contents of the notice if it is to catch the eye and make the employee read on and then want to apply for the job.

3) Newsletters Many companies regularly produce in-house newsletters, magazines or journals for their staff to read. It is hoped that latest company news sheet is read avidly by all staff thus ensuring that everyone is aware of the job opportunity advertised in it. Unfortunately this is not always so, because it is sometimes not circulated widely enough and employees may find it boring and choose not to read it. Newsletter can be utilized as the source of recruitment if it is convinced that everybody will see a copy.

50

4) Memoranda Possibly the best way of circulating news of the job vacancy is to send memoranda to department managers to read out to the teams or to write all employees perhaps enclosing memoranda in wage packets if appropriate. However it can be a time consuming process to contact staff individually, especially if there is a large work force. It should also be kept in mind as to in which way the memorandum is phrased out so that the job appeals to likely applicants.

EXTERNAL SOURCES There are many sources to choose from if you are seeking to recruit from outside the company. 1. Word of mouth 2. Notices 3. Job centers 4. Private agencies and consultants 5. Education institutions 6. The press 7. Radio 8. Television

1) Word of Mouth Existing employees may have friends and relatives who would like to apply for he job. Recruiting in this way appears to be simple, inexpensive and convenient. Never use word of mouth as a sole or initial source of recruitment if the work force is wholly or

predominantly of one sex or racial group. Also employing friends and relatives of present employees may be imprudent because it is not certain that they are as competent as the current staff.

51

2) Notices Displaying notices in and around business premises is a simple and often overlooked method of advertising a job vacancy. They should be seen by a large number of passerby, some actively looking for work. It can also be inexpensive with a notice varying from a carefully hand written post card up to a professionally produced poster. Pay attention to the appearance and contents of the notice if it is intended that it is applied by the right people. 3) Job Centers Most large towns have a job center which offers employers a free recruitment service, trying to match their vacancies to job seekers. Staff will note information about a post and the types of person sought and then advertise the vacancy o notice boards within their premises. Job center employees can further help if requested to do so by issuing and assessing application forms and thus weeding out those applicants who are obviously unsuitable for the position. Short listed candidates are then sent out for the employer to interview on his business premises.

4) Private Agencies and Consultants There are various types of private organization that can help to find the right person for a particular job. Employment agencies exist in many town and cities. Some handle all general vacancies from junior unto supervisory level while others specialize in various occupations such as accountancy, clerical or computer personnel and marketing or sales. Since they maintain a register of job seekers, they initially attempt to find applicants from this list. A short list will be drawn up by reading through applications and conducting interviews on client organizations behalf. Although fees vary, it is expected to pay around 10 to 15% of the annual salary offered if a suitable person is found for the job. This will be partly refundable if he leaves within a certain period of time. For temporary staff, it is normally charged on hourly, daily or weekly rate by the agency. They will then pay the employee. Recruitment agencies are similar to employment agencies in the services that they offer. The main difference is that recruitment agencies tend to operate at a higher level, concentrating on technical, managerial and executive appointment. Accordingly, increased time, effort and

52

expertise are needed to compile a quality short list. This will be reflected in the fees charged, often between 18 and 22% of the annual salary of the staff recruited. Again a proportion of this may be refundable if the employees proves to be unsatisfactory and subsequently departs. Search consultants, also known as Headhunters, specialize in finding candidates for senior positions. They normally head hunt people currently at work in similar posts, possibly at rival companies. Discrete approaches, by telephone, are made direct to the persons involved. Such a process is time consuming and requires considerable tact and diplomacy if it is to be successful. Charges may be in excess of 30% of the annual salary. Before opting for this source attention must be paid about those agencies who brashly promise to give a lengthy list of candidates very quickly. It may sound impressive but suggests that they are simply pulling names from a register perhaps of dubious quality and are not actively searching for and screening applicants properly. A good shortlist will take time to compile. It must be ensured that the agency with which the organizations contracting must follow a good refund system in case the new recruit resigns or needs to be dismissed shortly after joining. Also a free replacement warranty up to six months must be provided by the recruiting agency. When employing an agency or consultant, make sure that they know exactly what they are expected to do. A clear job description and employee specification, must be provided so that they could screen by referring to the employee specification and so on. Full up to date information about the job and person required. Supply all details and all instructions in writing to avoid subsequent misunderstandings and disagreements. The recruiting agency or consultant must be in touch with the client company throughout the recruitment process to ensure that the agency is following the instructions and doing its job well. Also it must be ensured that they are maintaining equality of opportunity and avoiding unlawful discrimination against applicants of a particular sex, marital status or any racial group. All applicants should be judged solely on their ability to do the job.

53

5) Educational Institutions Or Campus Recruitment Those companies which require a steady intake of young persons for new Youth Training to trainee management positions ought establish and maintain close contact with colleges and universities. The advantage of campus recruitment is, it is known that who the audience to be addressed are. Promotional literature in the form of posters, broachers, catalogues; press releases and so on can be issued to the audience so that the companys name remains prominent and their students minds all the time.

6) The Press Advertising for the new staff through the press has proved successful for many companies. Choose between local newspapers, national newspapers and the magazines. All will put in touch with different audience. Local newspapers, read by a large cross-section of the immediate population, may be most suitable if there is sufficient talent in the area. National newspapers, with their mass circulations and differing attitudes to news coverage appealing to various tastes, could be better when looking out to fill the senior position. Trade Magazines often under estimated as useful source of recruitment might be worth considering if looking out to recruit someone for a specialized job which possibly requires previous experience of the particular industry. Naturally there are some drawbacks to newspaper advertising. It is expensive in relation to other, often equally good source such as job and careers centers, which advertise free. Other drawbacks of newspaper advertising include a high level of wastage (the vast majority of readers will not be job hunting) and a short life span. The daily or evening newspaper is invariably discarded at the end of the day. A short series of advertisement incurring extra expenses may sometimes be required and multiplying one advert by three or four starts to make this source prohibitively costly. Trade magazines could be a better way of recruiting staff depending upon the circumstances. Most will include employment advertisements within a classified section which will be read by a small but select and interested number of people. There some disadvantages, however the financial outlay is still considerable. If the

54

magazine is published bi-monthly or quarterly, may have to wait sometime before the advertisement is seen. It may be intended to fill the vacancy as soon as possible.

7) Radio Many radio stations broadcast special job finders advertisements throughout the day for companies looking for new recruits. Advertising through the radio has got many advantages as it will be transmitted to over a wide geographical area to potentially large audience. Variety of age groups listens thus making it a suitable medium for different types and levels of jobs. Advertisements can be broadcast very quickly sometimes within hours. Nevertheless there are some disadvantages that must be considered carefully. As few have tune in to hear advertisements and their thoughts invariably wander when they are on, or they may start station hopping to find more music. The radio is also transient medium. An advertisement lasts for perhaps 30 seconds, which is a very short period in which to put across all the important points, and is then finished. It is usually difficult to remember (What was the companys name? what was its phone number?) most listeners will not have a pen and pad handy to make notes.

8) Television You can advertise on a regional or national basis. Recruiting staff through the Television is still widely regarded as a new and innovative approach. Companies which use this medium may therefore be seen as go-ahead and dynamic. Thus, this medium may not be an immediate choice if there is only just one vacancy to be filled, although shorter and expensive one month contracts could be negotiable and worth considering.

55

SELECTION The selection procedure is concerned with securing relevant information about the applicant. This information is secured in number of steps. The objective of selection process is to determine whether an applicant meets the qualifications for a specific job and to choose the applicant who is most likely to perform well in that job. The hiring procedure is not a single act but it is essentially a series of methods by which additional information is secured about the applicant. At each stage facts, which came to light, make the acceptance or rejections of the candidate clear. Some selection processes are quite easy and some with many hurdles this increases with the level and responsibility of the positions to be filled.

Essentials of Selection Procedure The selection process can be successful if the following requirements are satisfied: 1. Someone should have the authority to select. This authority comes from the employment requisition as developed by an analysis of the work-load and work force. 2. There must be some standard of personnel with which a prospective employee may be compared i.e., a comprehensive job description and job specification should be available beforehand. 3. There must be sufficient number of applicants from whom the required number of employees may be selected.

56

PROCESS OF SELECTION

Selection

Preliminary screening interview

Completion of application or form if not done previously

Employment tests

Comprehensive interview

Back ground investigation

Final employment decision

57

Preliminary Interview or Screening The initial screening is usually conducted by a special interviewer a high caliber receptionist in the employment office. These interviews are short and are known as stand-up interviews. The main objective of such interviews is to screen out undesirable/unqualified candidates at very outset. Such interviews conducted by someone who inspires confidence, who genuinely interested in people, and whose judgment in the sizing up of the applicant is fairly reliable. Basic criteria that must be met for an application to be eligible for consideration. If these criteria are not met, there is no obligation on the employer to consider such applications. The screening process therefore seeks to identify those applications that meet the basic entry-level requirements applications that are therefore incomplete or do not meet the basic appointment criteria are considered unsuccessful applications. In order to be fair and objective in the screening of candidates, it is essential that a fixed set of valid criteria be applied in terms of each and every candidate that applies for a position. Certain conditions should be met in relation to the format and content of a) Application forms b) Curricula Vitae (CVs) and c) All other relevant documentation.

What is the purpose of short-listing? After having completed the screening process and eliminated those applicants that do not meet the basic requirements, the next objective should be to identify a manageable size (pool) of applicants (a short-list) who are best suited to fill the position successfully and from whose ranks the most suitable candidate(s) is/are to be selected. It is about identifying a manageable pool of best suited candidates for a specific position, in the interest of the State, taking into account Affirmative Action and Employment Equity objectives. May short-listing be used to reduce a vast number of applications to a manageable size. As stated, the primary objective of the short-listing process is to reduce the number of qualifying applicants to a manageable size for purposes of selecting the most suitable candidate. A further

58

objective with short-listing is to rank candidates, and to determine a cut-off point below which candidates will not be interviewed. The criteria utilized for short-listing purposes should therefore be in sufficient detail to allow for this and should be applied consistently. Application Form Application form is also known as application blank. The technique of application blank is traditional and widely accepted for securing information from the prospective candidates. It can also be used as a device to screen the candidate at the preliminary level. Many companies formulate their own style of application forms depending upon the requirement of information based on the size of the company, nature of business activities, type and level of job etc. they also formulate different application forms for different jobs, at different levels, so as to solicit the required information for each job. But few companies in our companies in our country do not have prescribed application forms.

Psychological Testing Test is defined as a systematic procedure for sampling human behavior Tests are used in business for three primary purposes. 1) For the selection and placement of new employees 2) For appraising employees for promotion potentials and 3) For counseling employees if properly used psychological tests can be of paramount importance for each of these purposes.

Classification of Tests on the Basis Of Human Behavior

Aptitude or potential ability test Such tests are widely used to measure the latent ability of a candidate to learn new jobs or skills. They will enable us to know whether a candidate if selected, would be suitable for a job, which may be clerical or mechanical. These tests may take one of the following forms.

59

Mental or Intelligence Test - measures and enables to know whether he or she has mental capacity to deal with new problems. Mechanical Aptitude Test - measures the capacity of a person to learn a particular type of mechanical wok. This could help in knowing a persons capability for spatial visualization, perceptual speed manual dexterity, visual motor coordination or integration, visual insights etc.

Psychometric tests these tests measures a persons ability to do a specific job

Achievement test Also known as proficiency tests they measure the skill, knowledge which is acquired as a result of a training program and on the job experience they determine the admission feasibility of a candidate and measure what he/she is capable of doing.

Tests for measuring job knowledge this type of test may be oral or written. These tests are administered to determine proficiency in shorthand and in operating calculators adding machines dictating and transcribing machines and simple mechanical equipment.

Work sample tests demand the administration of the actual job as a test. A typing test provides the material to be typed and notes the time taken and mistakes committed.

Personality tests These tests aim at measuring those basic make up or characteristics of an individual which are non-intellectual in their nature. In other words they probe deeply to discover clues to an individuals value system, his emotional reactions and maturity and motivation interest his ability to adjust himself to the illness of the everyday life and his capacity for interpersonal relations and self image.

Objective tests it measures neurotic tendencies self-sufficiency dominance submission and self-confidence. These are scored objectively. They are paper and pencil tests or personality inventors.

60

Projective tests it is a test in which a candidate is asked to project his own interpretation into certain standard stimulus situation. The way in which he/she responds to these stimuli depends on his own values, motives and personality.

Situation tests these tests measures an applicants reaction when he is placed in a peculiar situation his ability to undergo stress and his demonstration of ingenuinity under pressure. Such tests usually relate to leaderless group situations, in which some problem is posed to a group and its members are asked to reach some conclusion without the help of a leader.

Interest tests these tests aim at finding out the types of work in which a candidate is interested. They are inventories of the likes and dislikes of the people of some occupation hobbies and recreational activities. They are useful in vocational guidance and are assessed in the form of answers to a well prepared questionnaire.

Interviews Interviews are a crucial part of the recruitment process for most organizations. Their purpose is to give the selector a chance to assess the candidate and to demonstrate their abilities and personality. Its also an opportunity for an employer to assess them and to make sure the organization and position are right for the candidate. An interview is an attempt to secure maximum amount of information from candidate concerning his suitability for the job under consideration. The recruitment process for most organizations follows a common theme: Applications/CVs are received, either online or by post; and candidates are short-listed and invited for interview. The interview format can vary considerably and may include an assessment centre and/or tests. The number of interviews also varies. Some companies are satisfied after one interview, whereas others will want to recall a further shortlist of candidates for more. If successful at the final interview stage, an official job offer is sent to the candidate. Interview format is determined by the nature of the organization, but there are various standard formats. Chronological Interviews -These work chronologically through the candidates life to date and are usually based on the CV or a completed application form.

61

Competency-Based Interviews -These are structured to reflect the competencies that an employer is seeking for a particular job (often detailed in the recruitment information). This is the most common type of interview for graduate positions today. Technical Interviews - If a candidate has applied for a job or course that requires technical knowledge (e.g. positions in engineering or IT) it is likely, at some stage in the selection process, that the candidate will be asked technical questions or have a separate technical interview to test his/her knowledge. Questions may focus on the final year project and his/her choice of approach to it or on real/hypothetical technical problems. It seen that the candidate proves himself/herself but also they admit to what they dont know. Kinds of Interviews: 1. One to one interview: in this type of interview one selector interviews one candidate alone. 2. Informal interview: in this type there are discussions between the candidate and two or more interviewers. 3. Panel of interviews: in these pre planned standard questions ranging overall aspects of the job are asked. They focus directly on elements of person specification. 4. Direct planned interview: this interview is straight forward, face to face, question and answer situation intended to measure the candidates knowledge and background. 5. Indirect and direct interview: in this type of interview the interviewer refrains from asking direct and specific questions but creates an atmosphere in which the interviewee feels free to talk and go into any subject he considers important. The object of the interview is to determine what individual himself considers of immediate concern, what he thinks about these problems, and how he conceives of his job and his organization. 6. Patterned interview: in this interview a series of questions which illuminates validated against the record of employees who have succeeded or failed on the job. 7. Stress interview: in this interview the interviewer deliberately creates stress to see how an applicant operates in stress situation. To induce stress, the interviewer responds to the applicants answers with anger, silence and criticism. This interview aims attesting the candidates job behavior and level of withstanding during the period of stress and strain.

62

8. Depth interview: in this type of interview, the candidate would be examined extensively in core areas of knowledge and skills of the job.

Background Checks and Enquiries Offers of appointment are subject to references and security checks. The references given in the candidates application will be taken up and a security check will be conducted. Security checks can take a while if the candidate has lived abroad for any period of time. Final Selection Decision Those individuals who perform successfully on the employment tests and the interviews, and are not eliminated by development of negative information on either the background investigation or physical examination are now considered to be eligible to receive an offer of employment. Who makes that employment offer? For administrative purposes the personnel department should make the offer. But their role should be only administrative. The actual hiring decision should be made by the manager in the department that had the position open.

63

Chapter 4

64

DATA ANALYSIS Observation made during the study and analysis of the company policy The company is having all over India branches/area offices. Initial interviews will be conducted at the area office by the concerned area manager. As the HR Department is located in the corporate office so all the final interviews & selection will be done at its corporate office i.e. in Hyderabad. Sometimes screening will be done by telephonic interview which is conducted by the HR department in corporate office. The candidate will be filtered based on merit and experience. The company is recruiting its manpower through consultancy also. The consultancy will be selected based on the process used by them before sending the candidate to the company. The company is tie up with job portal Naukari.com also. This is helpful for the process of recruitment in collection of resumes. The candidate will be selected based on the communication and their presentation at the time of interview. Subject knowledge is also essential based on type of the vacancy. The time lag between recruitment and placing will be done within one month. The company will pay the applicants expenses for attending the interview, based on the grade. Rejected candidates will be intimated and their profile will be kept in data bank for a period of 6 month.

65

1) The recruitment and selection process of company meets the current legal requirements.
4% 4% 14% 19% Strongly Agree Agree no opinion 59% disagree strongly disagree

Response Pattern Strongly Agree Agree no opinion disagree strongly disagree

Remark 10 30 7 2 2

Percentage 19% 59% 14% 4% 4%

Interpretation: Near about 20% of the respondents are strongly agree with the statement that recruitment and selection process of company meets the current legal requirements, and 60% are agree only so, total 80% of the respondent are in favor that the process of recruitment & selection meets the current legal requirement. Observation: The process of recruitment & selection which is followed by the company is helpful to meet the companys manpower requirement.

66

2) Recruitment & Selection Policy of company is clearly stated.

4% 2% 10% 25% Strongly Agree Agree no opinion 59% disagree strongly disagree

Response Pattern Strongly Agree Agree no opinion disagree strongly disagree

Remark 13 30 5 2 1

Percentage 25% 59% 10% 4% 2%

Interpretation: The question was raised to know that employees are aware about the companys recruitment & selection policy or not. Near about 85% are agreed that the recruitment & selection policy is clearly stated and only 8% are disagree. Observation: So the recruitment & selection policy of company is clearly stated but it requires little bit change. But the company policy should be updated time to time.

67

3)

Internal source is better for company

4% 2% 22% 35% Strongly Agree Agree no opinion 37% disagree strongly disagree

Response Pattern Strongly Agree Agree no opinion disagree strongly disagree

Remark 18 19 11 2 1

Percentage 35% 37% 22% 4% 2%

Interpretation: As per the respondent response near about 70% are agree with the statement that internal source is better for company, 22% having no response and 6% are disagree with the statement. Observation: After analysis it is better to get the manpower by internal source as they are aware about that candidate skill and behavior but sometimes company will not get right candidate.

68

4) External source is better for company.

18%

4% 30% Strongly Agree Agree no opinion

40%

8%

disagree strongly disagree

Response Pattern Strongly Agree Agree no opinion disagree strongly disagree

Remark 2 15 4 20 9

Percentage 4% 30% 8% 40% 18%

Interpretation: Near about 55% are disagree with the statement that external source is better for companys recruitment process and about 34% are in favor of this statement. Observation: From this question respondent are satisfied with the internal source but some are not satisfied and they preferred external source.

69

5) I feel scarcity of manpower at my working place.

12%

10%

10%

Strongly Agree Agree

43%

25%

no opinion disagree strongly disagree

Response Pattern Strongly Agree Agree no opinion disagree strongly disagree

Remark 5 5 13 22 6

Percentage 10% 10% 25% 43% 12%

Interpretation: Near about 60% are disagree with this statement, means they are not feeling scarcity of manpower and Only 20% are agree with this statement. Observation: This shows that HR department fulfills all the requirements of human resource in the organization as soon as required. But as some are disagree with this statement means the recruitment process needs change.

70

6) I feel that the right job is being performed by the deserved person at my working environment.

14% 18%

8%

17%

Strongly Agree Agree no opinion 43% disagree strongly disagree

Response Pattern Strongly Agree Agree no opinion disagree strongly disagree

Remark 9 22 9 7 4

Percentage 17% 43% 18% 14% 8%

Interpretation: It is very important for any organization to recruit skilled manpower, to achieve its business target. The question was raised to know the opinion that right job is performed by right person. So 60 % are agree and near about 20% are disagree. Observation: This shows company is recruiting right candidate for right job but some respondent are disagree so selection process need improvement and proper verification of recruitee.

71

7) The employees competency matches with the job specification.

2% 10% 8% 39% Strongly Agree Agree no opinion 41% disagree strongly disagree

Response Pattern Strongly Agree Agree no opinion disagree strongly disagree

Remark 1 20 21 5 4

Percentage 2% 39% 41% 10% 8%

Interpretation: Nearly 45% are agree with this statement and 20% are disagree but surprisingly 40% gave no opinion this means they are not aware about other competencies, Observation: This interpret ate that companys recruitment process is helpful in getting right candidate for right job but as per of the some respondent dissatisfaction the recruitment should be more filter.

72

8) To what extent you are satisfied with the external source (job portals) for recruitment process.
2% 7% 33% Strongly Agree Agree no opinion 49% disagree strongly disagree 9%

Response Pattern Strongly Agree Agree no opinion disagree strongly disagree

Remark 3 4 22 15 1

percentage 7% 9% 49% 33% 2%

Interpretation: some respondent are satisfied with the external source of recruitment ,It is observed that most of the candidates are recruited through Reference or other internal source and about 50% have no opinion the external sources like job portals, consultancies.

73

9) To what extent you are satisfied with the employees reference for recruitment process.

14%

20% Strongly Agree

22%

Agree no opinion 4% 40% disagree strongly disagree

Response pattern Strongly Agree Agree no opinion disagree strongly disagree

Remark 10 20 2 11 7

percentage 20% 40% 4% 22% 14%

Interpretation: 60% of respondent are in favor of the statement that they are satisfied with the employees referral, this helps in getting known candidates as company knows the skill and behavior of the recruitee. But near about 35% are disagree with the statement so, recruitment process need good external sources for recruitment process.

74

10) To what extent the selection procedure followed for your recruitment is suitable to your job.

8% 20% 28% Strongly Agree 4% Agree no opinion disagree 40% strongly disagree

Response pattern Strongly Agree Agree no opinion disagree strongly disagree

Remark 14 20 2 10 4

percentage 28% 40% 4% 20% 8%

Interpretation: Near about 70% of the candidates are satisfied with the selection procedure and this shows right person is in right job but near about 30 % are not satisfied so this shows that selection process also needs some changes.

75

Chapter 5

76

FINDINGS AND INTERPRETATION After a thorough study and discussion on the companies recruitment & selection policy, to know its effectiveness in the organization a self designed questionnaire has been prepared to gather the views of employees. The questionnaire contains 10 questions related to recruitment & selection topic. The questionnaire has been distributed to 50 employees from various departments (HPD, Marketing, Legal (SCM), PNS, and Finance & Logistic) and asked them to answer the questions by selection the given choices. The responses of all the questions were summed up from all the answered questionnaires. These summed up responses were calculated to derive the percentages to make the interpretation more meaningful, being represented in the form of pie chart. These are the findings: 1. The process of recruitment & selection which is followed by the company is helpful to meet the companys manpower requirement to some extent. 2. The recruitment & selection policy of company is clearly stated but no updation according to the companys objective. 3. Company is highly dependent on employees referral for higher position and for lower posts company prefers job portals and outsourcing. 4. Company is recruiting right candidate for right job but some respondent are disagree so selection process needs improvement and proper verification of recruitee. 5. Candidates are not timely informed for their selection and also for their rejection. 6. Too much time taken by the HPD in recruiting some important urgent posts. 7. Some respondent are satisfied with the external source of recruitment ,It is observed that most of the candidates are recruited through Reference or other internal source and about 50% have no opinion the external sources like job portals, consultancies. 8. After analysis it is better to get the manpower by internal source as they are aware about that candidate skill and behavior but sometimes company will not get right candidate.

77

Chapter 6

78

SUGGESTIONS After concluding the study of the companies recruitment policy, interaction with some of the recruitment manager, company associates and based on the responses received from the associates the following suggests are made to the company for further improvement of the policy. 1. The organization should not majorly Clear job description is given to the candidates at the time of interview itself, to avoid disappointment after joining. 2. The candidate should be informed in time whether they have been selected or not. There should not be any delay in informing the candidate. 3. There should be reliability on external sources. 4. Recruitment feedback should be taken by the candidates to improve the recruitment process. 5. The employees should be called for the interview only after checking their educational qualifications and job experience in a proper way so as to save the time and cost involved in the recruitment process. 6. Depend on the application bank as the major source for the details of the candidate for recruitment purpose. It should also consider other sources which could provide them better options. 7. Follow up to be done to the newly engaged employees to ensure that they have settled in and to check on how well they are doing. If they have any problems it is better to identify them at an early stage rather than allowing them to fester. 8. Internal job posting to be preferred to reduce cost of recruitment. 9. Organization should use social networking sites for creating pool of good candidates.

79

Bibliography

80

Bibliography H. John Bernardin Human Resource Management, Fourth Edition, Mc Graw Hill,2000. Angelo S Denisi , Human Resource Management ,Second Edition, Biztantra, 2005. GaryDessler, Human Resource Management Tenth Edition, Pearson Education, 2007,pg. no.423-530. C.R. Kothari, Research Methodology Methods and Techniques, Second Edition, New Age International Publishers, 2004. Information from Company Policy Manual Abhishek Agarwal - EzineArticles.com Expert Author Recruitment and Selection by Duncan Brodie- EzineArticles.com Expert Author.

Websites:

www.shrm.com www.citrhr.com www.agi-glaspac.com www.management.org

http://www.ssa.vic.gov.au

81

Annexure

82

Questionnaires for associates:

I am student of SIVA SIVANI INSTITUTE OF MANAGEMENT, SECUENDRABAD, and I am doing project on RECRUITMENT AND SELECTION in the field of Human Resource Department. I would be grateful if you could spare few minutes and answer the questions below. The answer will be kept confidential and used for academic purpose only.

QUESTIONNAIRE [Kindly tick ( ) the options you think are right ] 1) The recruitment and selection process of company meets the current legal requirements? a) Strongly Agree b) Agree c) no opinion d) disagree e) strongly disagree 2) Recruitment & Selection Policy of company is clearly stated. a) Strongly Agree b) Agree c) no opinion d) disagree e) strongly disagree 3) Internal source is better for company. a) Strongly Agree b) Agree c) no opinion d) disagree e) strongly disagree 4) External source is better for company. a) Strongly Agree b) Agree c) no opinion d) disagree e) strongly disagree 5) I feel scarcity of manpower at my working place. a) Strongly Agree b) Agree c) no opinion d) disagree e) strongly disagree 6) I feel that the right job is being performed by the deserved person at my working environment. a) Strongly Agree b) Agree c) no opinion d) disagree e) strongly disagree 7) The employees competency matches with the job specification. a) Strongly Agree b) Agree c) no opinion d) disagree e) strongly disagree 8) To what extent you are satisfied with the external source (job portals) for recruitment process. a) 0% b) 25% c) 50% d) 75% e) 100% 9) To what extent you are satisfied with the employees reference for recruitment process. a) 0% b) 25% c) 50% d) 75% e) 100%

83

10) To what extent the selection procedure followed for your recruitment is suitable to your job. a) 0% b) 25% c) 50% d) 75% e) 100% THANK YOU.. Date: Department:

84

85

86